NBCC's up to $25 mn IPO subscribed nearly 5 times

An up to $25 million initial public offering by state-run National Buildings Construction Corporation was subscribed nearly five times the shares on offer at the close of the issue today, the stock exchange data showed.

An up to $25 million initial public offering by India's state-run National Buildings Construction Corporation (NBCC) was subscribed nearly five times the shares on offer at the close of the issue on Tuesday, the stock exchange data showed.

The government was selling a 10% stake in NBCC, a consultant for civil construction and real estate projects, in the offer as part of its divestment programme to help patch its fiscal deficit.

The issue had a price band of 90-106 rupees for 12 million shares on offer. Enam and IDBI Capital are the merchant bankers to the issue.

The share sale was the government's first since a $2.6 billion auction in Oil and Natural Gas Corp this month failed to attract enough investors, forcing state-run Life Insurance Corp to pick up most of the 5% stake on offer.